To : True North Maritime operations Ltd

From : Neptune Freight co. Inc

Sub :Citing out factors, necessary skills and qualifications

Date :12.Oct.2021

I ) When selecting an arbitrator : -

The parties and their lawyers spend considerable time and resources for the selection of arbitrators.
Various distinct factors are considered extensively including their nationality, education, technical
expertise and professional experience. Along with this, the selection parties also take into account
several other aspects like the applicable law, forum, kind of dispute, location, nationality of the
parties, etc.

-Nationality of Arbitrator

The factor of Nationality is one of the essential one which needs to be considered by the parties in
every case. The arbitral institutions like DIAC(Dubai International Arbitration Center) directs that in
arbitrations when the parties belong to different nationalities, a sole arbitrator or a chairman of the
arbitral Tribunal cannot belong to the same nationality as that of either of the parties. However, the
parties are otherwise free to agree over the same in writing.

-Relationship with parties to the arbitration

The qualities of impartiality and independence of an arbitrator is one of the basic requirements of
any arbitration proceeding. Several International Tribunals have suggested that the requirement of
independence and impartiality serves the purpose of protecting the parties against arbitrators being
influenced by the factors other than those related to the merits of the case. Process of arbitration is
a substitute for courts’ litigation which aims at the resolution of disputes of the parties. Thus, the
legal relationship between the parties and arbitration arbitrator is of contractual nature.

-Languages known by the arbitrator

The parties in a dispute are free to make an agreement with mutual consent in regards to the factor
of language of the arbitration. They can choose the language or languages which will be used during
the whole arbitration proceedings. This agreement shall apply upon any form of written statement
by the parties, on any hearing and any decision or award by the arbitral Tribunal. But if the parties
fail to make such an agreement, then the arbitral Tribunal shall decide the language to be used in
the proceedings. Tribunal has to take into account both the practical and legal issues pertaining to
the dispute while determining the language. In most of the international commercial arbitration, the
controversial issue arises because of the parties belonging to different countries having different
language. In such context, Article 17(1) of UNCITRAL Arbitration Rules provides that the arbitral
Tribunal shall decide the language of the arbitration proceeding “promptly after its appointment”.

-Impartiality and Independence

The arbitrators should be impartial and independent. An impartial arbitrator is one who is not biased
or partial, means who does not favour or oppose any party of the case. While an independent
arbitrator is one who is not dependent or controlled personally, monetarily and professionally on
either of the parties to the dispute. These both qualities are crucial for efficient arbitrators to
perform their determining roles. These two essential attributes are distinct but interrelated
qualifications which are required in every arbitrator.

List of criteria for suitable presiding arbitrator:

The parties and lawyers spend considerable amount of time in selection of arbitrators. Various
distinct factors have been laid down below which includes nationality education, expertise and
professional experience , also they take into account location, nationality of parties , kind of
dispute ,law applicable , forum etc .

Since all they played very important when pressing towards selecting an suitable arbitrator.

Qualifications of Arbitrators:

First, the arbitrator must possess the qualifications required by the parties, per their arbitration
agreement. If the arbitrator does not possess the qualifications required by the parties, the
arbitrator would be subject to challenge under S.11(b) of the Arbitration and Conciliation Act 1996.

Second, there must be no circumstances that raise justifiable doubts regarding impartiality or
independence of the arbitrator. The detailed grounds for justifiable grounds have been provided in
Fifth Scheduled of the Arbitration and Conciliation Act. If there are such doubts raised, the
appointment of an arbitrator can be challenged through S.11(a) of the Arbitration and Conciliation
Act 1996.

Thirdly, the arbitrator must be of sound mind and legally competent to contract.[3]

Availability: The availability of desired arbitrators is considered as a crucial characteristic of an

efficient International arbitrator. The Limited availability of an arbitrator has been seen many times
as one of the factors which can make an arbitration inefficient.

Knowledge and Expertise in the matters involved in an arbitration:

For the success of an arbitration, it is necessary to choose a decision maker with expertise which can
reflect the nature of the dispute. It is not necessary for arbitration that an arbitrator should only be
the one with formal legal education and legal experience, in certain circumstantial cases parties can
appoint an arbitrator with the particular professional expertise matched with the nature of dispute.

Management skills of an arbitrator:

The parties should choose an efficient and persuasive arbitrator who is capable of managing the
people as well as the process. While inspecting and scrutinizing a candidate, in respect of the
managerial skills, the parties should take into account the considerations like his good judicial
attitude, his intimation with the arbitration process as well as his comfortability in considering the
different cultures, legal system and issues within the dispute.

Arbitrator with manageable workload:

While choosing an arbitrator the parties should inquire into their caseloads. They should, in the
beginning only, ask the arbitrator whether they will be able to devote sufficient time in attentiveness
to the dispute of the parties. The parties need to consider several aspects in advance like arbitrator
selection procedure, impartiality of arbitrator etc.

Communication Proficiency and Juridical Open Mindedness:

Arbitrator’s effective communication skills act as a primary tool for listening to the parties,
incorporating their corresponding positions and obtaining the adequate reasonable results.
Arbitrators must propose the arguments and put forth the questions which the parties may not want
to answer openly and articulate the decisions in an effective and convincing manner .